The Chief Executive of ANZ Bank, Shayne Elliott, recently spoke with Neil Mitchell on 3AW about the housing market and economic conditions in Australia. Despite previous pessimism, Elliott noted a shift towards optimism in the housing sector, stating, "We think in the capital cities, possibly up to 10 per cent over the next year."
Elliott attributed this change to substantial government support and increased deposits among Australians. He explained that many are redirecting funds typically used for travel into housing investments or renovations. However, he acknowledged some mortgage holders face challenges but emphasized that overall affordability remains strong.
Discussing workplace dynamics post-pandemic, Elliott expressed a desire to bring employees back to city offices but anticipated a gradual return. "We do want to get workers back into the city," he said, estimating office capacity would not reach pre-pandemic levels soon.
Regarding broader economic concerns like immigration and investment hesitancy, Elliott highlighted a cautious approach from potential investors waiting for clarity on several fronts including vaccine developments and government policies. He also mentioned a conversation around immigration's role in Australia's growth is necessary.
On using bank data for contact tracing during COVID-19, Elliott shared there were informal discussions but stressed customer privacy concerns would need careful consideration.
In conclusion, Elliott does not foresee cash regaining its former prominence as people have adapted to digital payment methods during the pandemic.
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